5 Things Your Students
Need to Know
August 2015
Since 2009, we have serviced federal student loans on behalf of
the U.S. Department of Education.
We manage over $300 billion in outstanding student loan balances
and help more than 12 million Americans achieve success.
Learn more at Navient.com
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Welcome to the webinar
• To download today’s presentation
Go to Navient.com/Schools, click Support & Resources. The presentation is in the
Training & Webinars section.
www.navient.com/schools/support-and-resources/training-and-webinars/
• Today’s facilitator:
Steve Wynne
Director
Client Communications
• If you have technical difficulties
Audio: Press *0 to speak to an operator
WebEx access issues: Dial (800) 508-8758, select option 3
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
3
Servicing contacts and today’s speakers
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Agenda
• Sharing feedback from our school partners through our relationship management
team
• Sharing feedback from our loan customers through our call centers, social media,
and borrower webcast
• Exploring key findings from our independent research study of borrowers to clarify
our loan customers’ needs regarding communication and customer service
- Borrowers were a mix of those in deferment, grace, and repayment
• Providing a roadmap of information and resources to fill in those student borrower
knowledge gaps, with tips on how to reach your students
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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5 Things Your Students Need to Know
Student Loan
Basics
Payments &
Repayment Plans
Finding how many and what
types of student loans a
student has, their interest
rates, servicer information
and online accounts
Payment allocations, how to
lower or postpone
payments, different
repayment plans, protection
from fraud
Financial
Literacy
Loan
Consolidation
For Military
Personnel
5 Habits of Successful
Student Loan Borrowers,
managing personal finances
with online tools and
resources
Eligibility, where and how to
apply, adding additional
eligible loans, interest rates
and extending the
repayment period
Servicemembers Civil Relief
Act, benefits, helpful tips
and student loan resources
for members of the armed
forces
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Student Loan
Basics
Student Loan
Basics
Finding how many and what
types of student loans a
student has, their interest
rates, servicer information
and online accounts
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Student loan basics – what we have learned
• Even after entrance counseling, and with available resources at
www.studentaid.gov/login, students still need basic loan information, including:
- Types of student loans and the number of student loans a student borrower has
- Explanation of interest rates and who sets them
• Student loan borrowers need a collaborative communication partnership with their
loan servicer – starting when then are in school and continuing when they reach
grace and repayment – for example through:
- Email and resources
- Customer service call center
- Web/social media/mobile
• Student loan borrowers need clear, concise messages, with a defined call to
action, next steps/actions to be taken, and timing
• Student loan borrower need to receive information several times and in different
formats to make it stick!
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Email
• Targeted communication,
clearly written and sent at
the right time
• Each message also
provides successful
borrowing tips
and promotes tools and
resources on personal
finances, budgeting. and
student loan repayment
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Have detailed resources available
For online support, links, and collateral:
www.navient.com/schools/borrower-communications-and-education/financial-education/
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Have detailed resources available
New library for schools
• We've created a new online
library, making it easier for
you to find information that
can help your students
succeed.
• Visit the library at
Navient.com/Schools/Library
to download, print, and share
tip sheets and other helpful
resources
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Use relevant online resources for borrowers
Information regarding interest rates and avoiding fraud:
www.navient.com/loan-customers
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Update mobile resources for borrowers
A mobile app to access information and resources 24/7 is critical for
sustaining communication and reaching students on their terms.
Mobile must have all the functionality of a full website, including
payment screens and feedback options.
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Payments &
Repayment Plans
Payments &
Repayment Plans
Payment allocations, how to
lower or postpone
payments, different
repayment plans, protection
from fraud
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Payments & repayment plans
We communicate to borrowers that they need to
• Know what they owe
• Make sure their servicer can contact them
• Sign up to manage their accounts online and to receive email
• Save money using auto debit1
• Make on-time payments and consider paying a little extra each month
• Seek help at the first sign of financial difficulty
• Protect themselves from fraud – some third-party companies may claim they
can reduce or eliminate student loan debt, but they charge fees for services
that Navient and other federal loan servicers offer for free
• Use deferment and forbearance as a last resort2
"An interest rate reduction is often available as an incentive for paying by auto debit."
1
2
Recurring automatic monthly payments must be successfully deducted from designated bank account for rate reduction to apply. Benefit suspended during periods of forbearance and
certain deferments.
During periods of deferment, the federal government pays the interest on subsidized federal loans and borrowers are responsible for paying the interest on unsubsidized federal loans
and private loans. During periods of forbearance, borrowers are responsible for paying the interest on subsidized federal loans, unsubsidized federal loans, and private loans.
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Payments & repayment plans
And, most importantly, borrowers need to select
a repayment plan that is right for them. Federal
student loans have a wide range of repayment
plan options, including:
Overview available on
Navient.com
• Standard repayment plan: borrowers pay less
interest over time than under other plans
• Income-driven repayment plans: based on
borrower income and other factors; borrower must
meet eligibility requirements and recertify annually
• Graduated repayment plan: starts out with low
monthly payment amounts and increases, usually
every two years
• Extended repayment plan: provides a longer
period to make fixed or graduated payments
www.navient.com/assets/loancustomers/documents-andforms/Repayment-Plans-Overview.pdf
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Financial Literacy
Financial
Literacy
5 Habits of Successful
Student Loan Borrowers,
managing personal finances
with on-line tools and
resources
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Financial literacy, a critical component
• As recommended on StudentLoans.gov, financial literacy education is critical
for students, providing tools and information to help borrowers understand
financial aid and help manage finances
• Navient has created Path to Success to deliver on our commitment to
borrowers and schools through enhanced financial literacy tools
• Path to Success consists of free, brief, interactive modules available to anyone
with a web connection at Navient.com/path – you do not have to have a loan
serviced by Navient
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Overview of Path to Success current modules
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Help students use Path to Success
FAQs for school staff
Brochures
Links from Navient.com
and promotions in print and
web communications
Social media
For online support, links, and collateral:
www.navient.com/schools/borrower-communications-and-education/financial-education/
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Loan
Consolidation
Loan
Consolidation
Eligibility, where and how to
apply, adding additional
eligible loans, interest rates
and extending the
repayment period
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Loan consolidation
Loan consolidation can be helpful for borrowers who want to combine their
eligible federal student loans into a single Direct Consolidation Loan.
Borrowers should understand and carefully consider all factors before
consolidating.
• Enables borrowers to consolidate all of their federal loans into one new loan
• FFEL and Direct Loans, Perkins Loans, and PLUS Loans may be consolidated
• Interest rate: weighted average of the interest rates on the loans being consolidated,
rounded up to the next one-eighth of one percent
• Multiple repayment options: Standard, Graduated, Extended, Income Contingent,
Income Based, and Pay As You Earn
• Benefits:
- Possible longer repayment period
- Potential lower monthly payment
- Single servicer
• Application process and more information available:
www.studentaid.ed.gov/consolidation
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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For Military
Personnel
For Military
Personnel
Servicemembers Civil Relief
Act, benefits, helpful tips
and student loan resources
for members of the armed
forces
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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For military personnel
• There are special benefits and repayment options for servicemembers’ student
loans available from the U.S. Department of Education (ED) and the U.S.
Department of Defense (DOD)
• ED and federal student loan servicers recognize and appreciate the sacrifices
servicemembers make for our country; we pledge to support them by providing
information and access to counseling
• For example, Navient’s teams of dedicated customer care representatives can
help servicemembers access benefits available on loans, review repayment
options, and create a plan to manage their student loans while far from home
• Servicemembers should contact their student loan servicer for additional
information on these options, including eligibility information and what
documentation should be provided to receive benefits
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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For military personnel
• The Servicemembers Civil Relief Act (SCRA), formerly known as the
Soldiers’ and Sailors’ Civil Relief Act (SSCRA), is a federal law that provides
protections for military members as they enter active duty
§ 502. Purpose [Sec. 2]
The purposes of this Act are –
(1) to provide for, strengthen, and expedite the national defense through
protection extended by this Act to servicemembers of the United States to
enable such persons to devote their entire energy to the defense needs
of the Nation; and
(2) to provide for the temporary suspension of judicial and administrative
proceedings and transactions that may adversely affect the civil rights of
servicemembers during their military service.
• It covers issues such as rental agreements, security deposits, prepaid rent,
eviction, installment contracts, credit card interest rates, mortgage interest
rates, mortgage foreclosure, civil judicial proceedings, automobile leases, life
insurance, health insurance, income tax payments, and student loans
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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2014 requirements for granting SCRA benefits
• Historically, a servicemember (or their representative) had to provide a servicer
with a copy of their military orders that reflected active duty status, and the
servicemember then had to make a written request to the servicer
• In 2014 U.S. Dept. of Education issued guidance to reduce the burden on both
servicemembers and loan servicers in providing SCRA benefits
- Servicemembers can now request their SCRA benefits verbally by calling
their servicer
• Servicers can now use the Department of Defense’s (DOD) Defense Manpower
Data Center (DMDC) database to confirm military service – and the dates of that
service – without further contact with the servicemember
• Navient is proactively applying SCRA benefits based on our monthly scans
of the DMDC database
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Navient.com secure online document upload feature
Servicemembers also can submit military orders or certification by signing in to
their account at Navient.com and visiting the Customer Support section to use
the Securely Upload Documents feature.
(Note: Navient will accept photographs of orders as long as they are readable.)
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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For Navient-serviced student loans
Navient.com/Military
Detailed information on SCRA
benefits, SCRA interest rates,
military service deferments, and
public service loan forgiveness,
including forms and contact
information.
Navient military benefits team
855-284-4879
Monday – Friday 8 am – 8 pm ET
24/7 automated phone support
E-mail
MilitaryBenefits@navient.com
Fax
800-848-1949
Overseas
001-888-272-5543 (toll-free)
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Federal Student Aid military benefits brochure
Anyone may download a copy of
the U.S. Department of Education’s
Office of Federal Student Aid
brochure at
Navient.com/Military
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Q&A
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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Servicing contacts
Confidential and proprietary information © 2015 Navient Solutions, Inc. All rights reserved.
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